SEC Chair Gary Gensler criticises crypto but acknowledges Bitcoin

Outgoing SEC Chair Gary Gensler highlighted Bitcoin’s uniqueness among cryptocurrencies during a recent interview on CNBC's Squawk Box.

Gensler characterised Bitcoin (CRYPTO:BTC) as a speculative asset but compared its global trading appeal to that of gold.

He noted that Bitcoin could evolve into a widely accepted financial asset, given its current role as a store of value.

Gensler’s tenure at the SEC has been marked by aggressive enforcement actions targeting crypto firms for alleged regulatory violations.

He reiterated his belief that most digital assets, apart from Bitcoin, lack fundamental value and must prove their use cases to persist.

In 2023, Gensler stated that Bitcoin was the only cryptocurrency he viewed as a commodity, excluding Ethereum and others.

His stance on Ethereum’s regulatory classification has been a point of contention, with critics accusing him of evading direct answers.

Under his leadership, the SEC approved Bitcoin and Ethereum spot ETFs, signalling broader institutional acceptance of these assets.

Gensler denied owning Bitcoin or any cryptocurrency, reinforcing his focus on transparency and public disclosure requirements.

His successor, likely Paul Atkins, is expected to take a more crypto-friendly approach, potentially seeking regulatory alignment across agencies.

Gensler’s regulatory actions reflect his broader scepticism toward the crypto sector, except for Bitcoin, which he believes has unique attributes.

He emphasised that digital assets need robust fundamentals to endure in the long term.

Gensler’s departure marks a shift in the SEC’s approach to crypto, as the agency’s policies may evolve under new leadership.

Despite criticisms, Gensler’s assertion that Bitcoin is fundamentally different remains central to his legacy at the SEC.

At the time of reporting, Bitcoin price was $96,586.28.